Philippines plans to import 800,000 tons of rice this year

LOS BAÑOS, Laguna, Philippines (Reuters) – The Philippines plans to import around 800,000 tonnes of rice this year even if a government council allowed purchases of up to 1.3 million tonnes, the agriculture secretary said here.

The planned purchases would be just a third of the record 2.45 million tonnes of rice Manila bought last year.

But hefty stockpiles and expectations of strong local output this year have allowed the government to cut its imports of its main staple, thus tempering domestic food inflation, which has created problems for policymakers around the region.

Agriculture Secretary Proceso Alcala told Reuters he prefers the private sector to bring in the bulk, or 600,000 tonnes, of this year's planned rice purchases starting in the period from May to June.

''This year, we will import more or less only 800,000 or just one-third of last year,'' Alcala said as he inspected new rice varieties at the International Rice Research Institute's facilities in Laguna province, south of the capital, Manila.

''In the last National Food Authority council meeting, the limit of 1.3 million tonnes this year was approved. But my stand is we won't buy all of it,'' he said.

The Philippines – the world's biggest rice buyer in recent years – wants to cut its 2012 imports by half of this year's figure, or about 400,000 tonnes before it achieves its goal of rice self-sufficiency by 2013, Alcala said.

He did not say when the government would launch a tender for private sector rice import rights. The private sector's purchases are tariff-free, but the traders instead pay a service fee to the NFA for bringing in rice.

(Source: http://www.mb.com.ph/articles/306776/philippines-plans-import-800000-tons-rice-year)